Business as usual for Tbilisi’s real estate market, despite a sharp annual drop in rental prices - December 2014
09 December 2014

• Investments in real estate compensates for risk premiums (compared to money deposits) and more than covers its costs (Mortgage interest rate).
• Average rental price for residential property continues to fall and reaches its historical minimum since March 2013.
• Despite the lari depreciation, the average residential sale price did not decline and even increased by 0.3% compared to the same period in the previous year.

In December 2014, rental and sale prices of residential property continued to follow their long run trends. Average rental prices continued to decline in December, reaching a minimum of 8.3 USD per m2, while the residential rental price index decreased by 4.3% compared to the same period of last year. Regarding sale prices, the average slightly increased relative to November, reaching 934 USD per m2, while the sale price index increased only slightly by 0.9% in annual terms.